Bauer applauds end of hockey lockout

Among those cheering the end of the 113-day lockout and return of major-league hockey is Kevin Davis, president and chief executive officer of Bauer Performance Sports Ltd.

Bauer is a major supplier of equipment to NHL teams and players in addition to millions of amateur puck-handlers around the world.

The company took a hit from the dimming of the NHL arena lights over the past several months, but not a major one, says Mr. Davis.

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Bauer is just pleased the venerable game is back – albeit in a truncated season – because of the valuable relationship it enjoys with the NHL, he said in an interview after the company reported second-quarter results Thursday.

The NHL is important to Bauer because of a certain intangible, halo effect, but it doesn't represent a significant part of its business, he said.

"There was a small reduction in revenue for us, but it was not material," said Mr. Davis.

One niche category that got whacked is hockey sticks.

Fewer hockey games in the 2012-2013 NHL season means fewer broken sticks.

Lost revenues, however, are offset by the costs that have been avoided, such as player endorsement fees, he said.

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Bauer may also have gained some limited exposure abroad from the migration of Bauer equipment-wearing NHL players in Russian and European markets, he added.

In the second quarter, the company posted adjusted net profit of $7.3-million (U.S.), or 20 cents per share, compared with $4.4-million, or 14 cents, in the year-earlier period.

Revenue in the quarter rose to $109.6-million from $100.3-million.

Revenue got a boost from the inclusion of sales from recently acquired Cascade Helmets Holdings Inc. – a maker of lacrosse helmets and eyewear – and team uniform maker Inaria International Inc.

The lacrosse products company deal is part of a diversification strategy at Bauer, which also sells roller-skate gear.

Lacrosse is the fastest-growing team sport in North America.

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"Our newly launched hockey equipment products and our further investment into both apparel and lacrosse are key ingredients to our current and future success," Mr. Davis said in a news release Thursday.

Bertrand has been covering Quebec business and finance since 2000. Before joining The Globe and Mail in 2000, he was the Toronto-based national business correspondent for Southam News. He has a B.A. from McGill University and a Bachelor of Applied Arts from Ryerson. More

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